BILL NUMBER: AB 2906	CHAPTERED  09/05/00

	CHAPTER   299
	FILED WITH SECRETARY OF STATE   SEPTEMBER 5, 2000
	APPROVED BY GOVERNOR   SEPTEMBER 1, 2000
	PASSED THE SENATE   AUGUST 18, 2000
	PASSED THE ASSEMBLY   MAY 18, 2000
	AMENDED IN ASSEMBLY   APRIL 24, 2000

INTRODUCED BY   Committee on Insurance (Scott (Chair), Calderon,
Floyd, Gallegos, Keeley, Washington, and Wayne)

                        MARCH 14, 2000

   An act to amend Section 12419.3 of the Government Code, and to
amend Sections 1269, 1271, 1274.10, 9614, and 15079 of, and to add
Section 1271.5 to, the Unemployment Insurance Code, related to
unemployment compensation.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 2906, Committee on Insurance.   Unemployment or disability
compensation:  benefit overpayment obligations:  job training.
   (1) Existing law requires the Controller to offset specified
financial obligations, listed in order of priority, against the
amount of a personal income tax refund.  Existing law allows, as a
5th offset priority, the offset against a personal income tax refund
of an unemployment or disability insurance benefit overpayment.  If a
signed reimbursement agreement exists for any such overpayment,
existing law allows the offset only if 2 consecutive payments under
that agreement are delinquent as of September 30.
   This bill would modify this provision to instead allow the offset
if 2 consecutive payments under a reimbursement agreement are
delinquent at any time.
   (2) Existing law provides, until January 1, 2001, for retraining
benefits for individuals receiving unemployment compensation
benefits.
   This bill would make certain technical and clarifying changes in
those provisions.  This bill would also extend the provision of those
retraining benefits until January 1, 2005.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 12419.3 of the Government Code is amended to
read:
   12419.3.  The Controller shall offset delinquent accounts against
personal income tax refunds which have been certified by the
Franchise Tax Board, in the following priority:
   (a) The nonpayment of child or family support accounts enforced by
a district attorney.
   (b) The nonpayment of child or family support accounts enforced by
someone other than a district attorney.
   (c) The nonpayment of spousal support accounts enforced by a
district attorney.
   (d) The nonpayment of spousal support accounts enforced by someone
other than a district attorney.
   (e) The benefit overpayment accounts administered by the
Employment Development Department if no signed reimbursement
agreement exists, or if two consecutive payments on a reimbursement
agreement are delinquent at any time.
   (f) The other offset accounts in the priority determined by the
Controller.
  SEC. 2.  Section 1269 of the Unemployment Insurance Code is amended
to read:
   1269.  A determination of potential eligibility for benefits under
this article shall be issued to an unemployed individual if the
director finds that any of the following apply:
   (a) The training is authorized by the federal Workforce Investment
Act or by the Employment Training Panel established pursuant to
Chapter 3.5 (commencing with Section 10200) of Part 1 of Division 3.

   (b) The training is authorized by the federal Trade Act of 1974,
as amended (19 U.S.C. Sec. 2101 et seq.), pursuant to a certified
petition.
   (c) The individual is a participant in the California Work
Opportunity and Responsibility to Kids (CalWORKs) program pursuant to
Article 3.2 (commencing with Section 11320) or Article 3.3
(commencing with Section 11330) of Chapter 2 of Part 3 of Division 9
of the Welfare and Institutions Code, and has entered into a contract
with the county welfare department to participate in an education or
training program.
   (d) That all of the following apply:
   (1) The individual has been unemployed for four or more continuous
weeks, or the individual is unemployed and unlikely to return to his
or her most recent workplace because work opportunities in the
individual's job classification are impaired by a plant closure or a
substantial reduction in employment at the individual's most recent
workplace, by advancement in technological improvements, by the
effects of automation and relocation in the economy, or because of a
mental or physical disability which prohibits the individual from
utilizing existing occupational skills.
   (2) One of the substantial causes of the individual's unemployment
is a lack of sufficient current demand in the individual's labor
market area for the occupational skills for which the individual is
fitted by training and experience or current physical or mental
capacity and that the lack of employment opportunities is expected to
continue for an extended period of time, or, if the individual's
occupation is one for which there is a seasonal variation in demand
in the labor market and the individual has no other skill for which
there is current demand.
   (3) The training or retraining course of instruction relates to an
occupation or skill for which there are, or are expected to be in
the immediate future, reasonable employment opportunities in the
labor market area in this state in which the individual intends to
seek work and there is not a substantial surplus of workers with
requisite skills in the occupation in that area.
   (4) If the individual is a journey level union member, the
training or retraining course of instruction is specific job-related
training necessary due to changes in technology, or necessary to
retain employment or to become more competitive in obtaining
employment.
   (5) The training or retraining course of instruction is one
approved by the director and can be completed within one year.
   (6) The training or retraining course is a full-time course
prescribed for the primary purpose of training the applicant in
skills that will allow him or her to obtain immediate employment in a
demand occupation and is not primarily intended to meet the
requirements of any degree from a college, community college, or
university.
   (7) The individual can be reasonably expected to complete the
training or retraining successfully.
   (8) The beginning date of training is more than three years after
the beginning date of training last approved for the individual under
this subdivision.
  SEC. 3.  Section 1271 of the Unemployment Insurance Code is amended
to read:
   1271.
   (a) Any unemployed individual receiving unemployment compensation
benefits payable under this division, who applies for a determination
of potential eligibility for benefits under this article no later
than the 16th week of his or her receiving these benefits, and is
determined eligible for benefits under this article, is entitled to a
training extension on his or her unemployment compensation claim, if
necessary, to complete approved training.
   (b) The training extension shall provide the claimant with a
maximum of 52 times the weekly benefit amount, which shall include
the maximum benefit award on the parent unemployment compensation
claim.
   (c) The parent unemployment compensation claim shall be the
unemployment compensation claim in existence at the time the claimant
is determined eligible for benefits pursuant to subdivision (a).
   (d) Benefits payable under this section are subject to the
following limitations:
   (1) The individual shall remain eligible for benefits under this
article for all weeks potentially payable under this section.
   (2) The individual shall file any unemployment compensation claim
to which he or she becomes entitled under state or federal law, and
shall draw any unemployment compensation benefits on that claim until
it has expired or has been exhausted, in order to maintain his or
her eligibility under this article.
   (3) To the extent permitted by federal law, benefits payable under
any federal unemployment compensation law shall be included as
benefits payable under this section.
  SEC. 4.  Section 1271.5 is added to the Unemployment Insurance
Code, to read:
   1271.5.  (a) The department shall inform all individuals who claim
unemployment compensation benefits in this state of the benefits
potentially available under this article and Section 1271.  The
department may convey this information verbally or in written form.
If in written form, the department may utilize publications or
handbooks that inform individuals of their rights and duties in
regard to unemployment compensation benefits.  These publications,
issued by the department pursuant to authorized regulations, may be
used to satisfy the requirements of this section.
   (b) Benefits paid under Section 1271 shall be charged to
individual employer reserve accounts, consistent with the provisions
of this code.
  SEC. 5.  Section 1274.10 of the Unemployment Insurance Code is
amended to read:
   1274.10.  This article shall remain in effect only until January
1, 2005, and as of that date is repealed, unless a later enacted
statute, which is chaptered before that date, deletes or extends the
date.
  SEC. 6.  Section 9614 of the Unemployment Insurance Code is amended
to read:
   9614.  Notwithstanding any other provision of law, the department
shall annually issue an evaluation of the Job Agent Program to the
Governor and the Legislature.  This report shall be issued by
December 1 of each year.
  SEC. 7.  Section 15079 of the Unemployment Insurance Code is
amended to read:
   15079.  (a) In order to maximize employment and training services
to displaced workers, it is the intent of the Legislature that
unemployment insurance benefits be payable to unemployed workers
enrolled in retraining, in accordance with Article 1.5 (commencing
with Section 1266) of Chapter 5 of Part 1 of Division 1.  As part of
its education and job training report card program, the State Job
Training Coordinating Council, or its successor, shall annually
report on program outcomes.  Beginning in 2001, the report shall
include, at a minimum, the number of individuals who complete
training, a demographic profile of these individuals, the percentage
of these individuals who are found in California unemployment
insurance covered employment after the training, the rate of change
in the unemployment status of these individuals, the amount of the
Unemployment Insurance Fund benefits paid to program participants,
and any other data deemed relevant.
   (b) Service delivery areas may provide, to the extent permitted by
federal law, needs-related payments to eligible dislocated workers
who do not qualify for, or have exhausted, unemployment insurance
benefits, in order to enable these workers to participate in job
training and education programs authorized by this chapter.
